I heard a rumor that CBS was in the building...Any truth to that? Also, Mooves (CBS CEO) was on CNBC talking about setting up a Venture Fund to look at making "strategic" investments in the next year.. Thanks. Dutch
It's more than "just" CBS who have visited. Every major provider, plus a number of Madison Ave. types have been through too (maybe?). As one of the longest (dumbest?) holders of this company, I still hope they can make a deal on the model and articulate for all. My guess is that the industry hasn't decided (yet) but we are realllly close. My wish is for the industry to decide, Rent to capitalize, and a buyer to materialize somewhere down the line after a few quarters of wild success. The old guys might just be somewhat disappointed to sell too soon. But, that's what makes a market.
With Super Bowl ads costing a cool $2.4 million for 30 seconds, it only takes about half an hour of ads to equal Rentrak's market cap. So indeed, you can bet that any one who tries to make a living selling ads (i.e. big network TV) is interested in Rentrak.
No one knows how to charge for VOD, and before advertisers pony up the cash, the networks have to be able to "guarantee" them an audience. Big TV also knows that all the real statistics are only available from the people controlling the set top boxes - and Rentrak has long term deals with both the programming people and the set top box people.
VOD is on the verge of finally happening. I even saw TV ads for something like a "Brilliantbutcancelled.com" VOD web site. The way these web sites are going to get programming is to offer to revenue share with the companies owning the programming. And Rentrak is the gatekeeper of all that data!
We saw Adobe buy Macromedia in order to get Flash Player, mostly to be able to send video over the web. The tools for VOD are in place, now it's Rentraks turn to shine (or get bought).